Increasing the Efficiency of the Procurement in the Organization

The topic of the thesis is "Increasing the Efficiency of the Procurement in the Organization". Procurement activities nowadays play a huge role in the activities of any organization. It ensures the continuity of the organization’s production activities, and the procurement costs are a significant part of the costs of the entire company which creates the need to increase its efficiency. It is possible to increase the efficiency of procurement activities in various ways, but this paper is aimed at studying the impact of e-procurement systems on its efficiency. The purpose of this work is to justify the efficiency of the implementation of e-procurement systems in a company. The object of study is the organization's procurement activities, the subject is the efficiency of the implementation of e-procurement systems in the organization. The thesis consists of three chapters. The first chapter describes the theoretical aspects of supply logistics, its trends, several ways to evaluate the efficiency of the organization and e-procurement systems, its advantages and disadvantages. The second chapter describes the construction company, its economic condition, and the problems of supply activities. The third chapter is devoted to the implementation of an e-procurement system in the described company in order to increase its efficiency. This chapter provides a rationale for the need to implement an e-procurement system in this organization and expresses the creation of two simulation models that display the procurement processes of the company before and after the implementation of the e-procurement system. Based on a comparison of these models, it can be concluded that electronic supply systems can reduce the duration of the procurement cycle, increase the efficiency of communications and workflow, improve the quality of procurement, and significantly reduce costs.